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Understanding the Transmission of the Crisis

Basically, the future can never be understood with certainty. Even the most advanced risk management is only able to minimize uncertainty. It can never eliminate it.

By
A. PRASETYANTOKO
· 5 minutes read
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KOMPAS/ALIF ICHWAN

A wall monitor displays the movement of shares at the Indonesia Stock Exchange in Jakarta. The Jakarta Composite Index (JCI) closed higher on Monday (9/9/2019), rising 17.26 points or 0.27 percent from the previous day to 6,326.21, while the LQ45 stock market index also rose 0.12 percent to 989.97.

Basically, the future can never be understood with certainty. Even the most advanced risk management is only able to minimize uncertainty. It can never eliminate it. Likewise, the potential for a global recession in 2020 raises so many questions.

Our job is only to better understand its potential and impact and prepare its mitigation. The World Bank in its presentation of the Global Economic Risks and Implications for Indonesia explained that the impact of the global crisis on Indonesia would not be as severe as Turkey, Argentina and other countries in which the economies had declined for more than two quarters.

Editor:
Nasru Alam Aziz
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